Letter from the Laundry Association to Minister of Finance Magdalena Andersson and Minister of Trade and Industry Ibrahim Baylan, Ministry of Finance and Trade, Finance and Trade Committees
The government's crisis action to reduce rental costs in particularly vulnerable sectors should be extended to include laundry and textile service companies in SNI code 96.011 Industrial and institutional laundry. In order to reduce the negative effects of the corona pandemic, the government should also accelerate the work of extending the RUT deduction to cover laundry outside the home according to the RUT inquiry's interim report Fi2020 / 00389 / S1.
On July 2, the government decided to extend the rental subsidy to a number of sectors that were previously overlooked. Among other things to companies operating within SNI code 96.012 Consumer laundry.
This means that companies that work with consumer laundry are now entitled to the same support as other industries that have been hit particularly hard by the corona pandemic. We are grateful for this.
However, we would like to note that a large part of the companies in the industry still do not have access to the support. This applies to companies that provide laundry and textile services for, for example, hotels and restaurants with SNI code 96.011 Industrial and institutional laundry.
When hotels and restaurants have been empty, there has also been no need for laundry and textile services. Many testify to a drop in sales in the order of 80-90% from one day to another.
The laundry and textile service industry has sales of about 5,5 billion normally, and has about 5 employees in 000 companies, of which over 270% have fewer than ten employees. Many employees are young, sometimes without completed education and a large proportion who were born abroad. If these jobs win, it will mean a tough blow to an establishment in the labor market.
We believe that
- Laundries with SNI code 96.011 must be included in the possibility of reducing rental costs as well as companies in other industries.
In January 2020, the RUT inquiry submitted its interim report on an extension of the RUT deduction to include more services, including laundry at laundry facilities. We believe there are good reasons for speeding up the process of introducing this deduction.
Many are in isolation due to the risk of becoming infected with Covid-19. This may mean that relatives or other close relatives cannot help with washing. By opening up for an inclusion of household laundry in the RUT deduction, where the service also means that the laundry can be retrieved and provided, individuals and families would have the opportunity to relieve themselves and their relatives need not worry about the laundry not being done.
According to the Equality Authority, there is a risk that the corona pandemic affects homework and reinforces the pattern that women account for a greater proportion of homework than men. At the same time, according to Statistics Sweden, laundry is the most unequal household activity both in terms of average time and the proportion who carry out the activity. An extension of the RUT deduction is an important contribution to counteracting any negative effects on gender equality as a result of the corona pandemic.
We believe that
- The work of implementing the RUT inquiry's proposal to extend the RUT deduction to include laundry outside the home should be accelerated.
We therefore urge the government urgently
- includes vulnerable companies in the laundry and textile service industry within SNI code 96.011 in the rent subsidy as above
- before the RUT deduction for laundry and textile service companies, as proposed in the RUT investigation's interim report “More route services and a higher ceiling for the route deduction Fi2020 / 00389 / S1”
For the Swedish Laundry Association